Bringing you live news and features since 2006 

Bringing you news, views and analysis since 2013

Columbia Threadneedle Investments launches Columbia Seligman Semiconductor and Technology ETF

Columbia Threadneedle Investments has launched its first actively managed, semi-transparent ETF, the Columbia Seligman Semiconductor and Technology ETF (NYSE Arca: SEMI). 

The firm writes that SEMI is a thematic, growth-focused technology strategy that will invest primarily in the securities of semiconductor, semiconductor equipment and related technology companies.

SEMI is managed by Paul Wick, Sanjay Devgan, Shekhar Pramanick and Christopher Lo. Wick leads Columbia Threadneedle’s Seligman Technology team, which is comprised of 11 investment professionals averaging 24 years of industry experience. Based in Silicon Valley, this team is one of the industry’s largest and most experienced managing technology-focused strategies, with USD17.8 billion in assets under management. With 32 years of investing experience, Wick is the longest-tenured mutual fund manager in the technology space, having managed the Columbia Seligman Technology and Information Fund (formerly named the Columbia Seligman Communications and Information Fund) since 1990. 

“No longer viewed as a cyclical sector, semiconductors have established themselves as the bedrock underlying the disruption and innovation brought about by new technologies. We believe that semiconductors are a key driver of growth across the economy, from mobile handsets, PCs and robotic manufacturing to gaming consoles, electric vehicles and the metaverse,” says Wick. 

“Even though the semiconductor sector has seen significant returns over the past decade, we believe it remains reasonably valued and quite profitable when compared to other technology sectors and the broader market. Plus, we believe the increase in end markets, alongside industry consolidation and high barriers to entry, bode well for potential future returns,” Wick says.   

The portfolio management team seeks to find fundamentally attractive semiconductor companies and related businesses with reasonable valuations. SEMI is a concentrated, high-conviction portfolio consisting of companies with which the team has insight gained through deep fundamental research and industry knowledge. On average, the fund typically will invest in 30 to 50 companies, from small emerging businesses to more well-established mega-cap stocks, but may at times hold more or less securities than this range. The fund’s management fee is 75 basis points. 

In addition to managing SEMI, the Seligman Technology team manages two mutual funds, Columbia Seligman Technology and Information Fund (CCIZX) and Columbia Seligman Global Technology Fund (CSGZX). The team also manages a closed-end fund, Columbia Seligman Premium Technology Growth Fund (NYSE: STK) and certain other vehicles. 

Marc Zeitoun, Head of Strategic Beta and Private Client Advisory, says: “Grounded in the belief that investment insights matter, we have built a range of ETFs based on our conviction that we can improve conventional passive exposures with proprietary research and active portfolio management expertise. SEMI provides investors and their advisors with an opportunity to invest in companies that build the core technology powering nearly every disruption. We believe the actively managed semi-transparent ETF structure is right for this kind of solution.”
SEMI uses Fidelity’s active equity ETF methodology.
 

Latest News

ETF data providers ETFGI report that assets invested in the global ETFs industry extended its lead over the global hedge..
Never a dull moment for Cathie Wood, founder and CEO of ARK Invest. In 2020 she was the ETF darling enjoying..
New data from ETP provider GraniteShares, which offers a range of 3x short and 3x leveraged ETPs on popular UK,..
New York based MacMillan Communications, a well-known provider of public relations services to the finance industry since 1996, which has..

Related Articles

Osprey Funds’ founder and CEO, Greg King, has written an open letter to Barry Silbert, majority owner of Digital Currency Group which owns Grayscale, suggesting that he uses his powers...
Comparing multifactor ETFs to the popular Marvel Avengers series may seem a bit of a stretch but recent analysis from Morningstar suggests the investment strategies have more in common with...
Franklin Templeton, with global ETF AUM exceeding USD13 billion, launched its European ETF offering in 2017, and announced last year the hire of Lotfi Ladjemi as Senior ETF Sales Specialist...
Welcome to the 2023 ETF Express Global Outlook, in association with Qontigo’s STOXX index business, which garners the views of global ETF investors on likely trends for the coming year....
Subscribe to the ETF Express newsletter

Subscribe for access to our weekly newsletter, newsletter archive, updates on the site and exclusive email content.

Marketing by